Microsoft Alliance With Intel Shows Age by wholesaleeshop.com.au

Jan. 4, 2011 - PRLog -- The technology industry's most lucrative partnership—the long-running alliance between Microsoft Corp. and Intel Corp.—is coming to a day of reckoning.
Sales of tablets, smartphones and televisions using rival technologies are taking off, pushing the two technology giants to go their separate ways.

The clearest sign that their interests are diverging: Microsoft on Wednesday is expected to unveil a future version of the company's flagship Windows operating system that runs on microprocessors designed by Intel rival ARM Holdings PLC, according to people familiar with its plans.

Microsoft still plans to make versions of Windows that also run on Intel chips, but the company's ARM plans amount to a huge bet on a chip technology that has become the de facto standard for smartphones, tablets and other mobile products.
The marriage of Intel chip designs and Windows—what became known as the "Wintel" alliance—has shaped the PC business since the early 1980s, defining the standard for which software developers created applications. But both companies have struggled to capitalize on newer growth markets.
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While Windows still powers more than 90% of global personal computers, research firm Gartner says Microsoft software ran less than 3% of smartphones in the third quarter. Despite pushing tablets for the past decade, no Wintel tablet has caught on with consumers.
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The success of Apple Inc.'s iPad has driven a deeper wedge between Microsoft and Intel. The two companies, in collaboration with hardware makers, haven't been able to come up with any tablet products that match the performance, power efficiency and ease-of-use of the iPad, a worrying trend as the Apple device has come to nibble into mobile PC sales.
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